Article 38 and implementing rules for payments linked to the WFD SSG WFD and Agriculture Lund, 23 September 2009 DG for Agriculture and Rural Development, European Commission

I) Presentation of Article 38 of Reg (EC) n°1698/2005 To compensate farmers for the disadvantages resulting from the implementation of the WFD → Requirements stemming from other Community legislations for the protection of water fall out of the scope of Art.38 Annual area related payment Compensation for the additional costs and income foregone resulting from the disadvantages introduced by the WFD → Article 38 does not cover voluntary measures → Article 38 does not cover investments related operations The use of Article 38 by MS in their RDP requires the PoM to be established DG AGRI 23 September 2009

II) Implementing rules for Art. 38 for WFD payments (1/3) 1. Specification of the scope of application Why specifying the scope? WFD potentially applies to the whole EU territory PoM may includes a wide range of measures Financial possibilities under rural development are limited How to specify the scope? Support limited to requirements introduced for the purpose of implementing the WFD Support targeted at certain types of operation DG AGRI 23 September 2009

II) Implementing rules for Art. 38 for WFD payments (2/3) 2. Maximum amount of support Provisions of Article 38 sets that maximum level of support shall be set Proposal to maintain levels of support set for Natura 2000 payments 500€/ha/year for the five first years 200€/ha/year after Possibility of derogation for duly justified cases DG AGRI 23 September 2009

II) Implementing rules for Art. 38 for WFD payments (3/3) 3. Articulation with Article 31 To avoid risks of double funding Proposal to exclude from the scope of Art.31 kinds of operation eligible under Art. 38 DG AGRI 23 September 2009

III) Timetable for the adoption of the implementing rules Discussion at the next Rural Development Committee (RDC) (October) Agreement on a text in the RDC (October/November) Adoption possibly by the end of the year DG AGRI 23 September 2009

Thank you for your attention ! DG AGRI 23 September 2009